IBM price target lowered to $140 from $150 at Stifel

Stifel analyst David Grossman lowered the firm’s price target on IBM to $140 from $150 and keeps a Buy rating on the shares. Q1 revenue was "modestly below consensus," with modest outperformance in software offset by modest underperformance in consulting and infrastructure and 2023 revenue growth guidance was "lowered modestly" from a low-end of 4%-6% in constant currency to 3%-5%, the analyst tells investors. The firm’s estimates were below guidance and "change modestly," notes Stifel, which adds that a free cash flow range of $10B-$10.5B "seems more reasonable without a change in non-operating assumptions" given the modest decline in the revenue forecast.